How AI is Galvanizing SAP Spend Management and Business Network

⇨ SAP's integration of Generative AI, particularly through the Joule copilot, aims to transform business processes in areas like Intelligent Spend and Business Management, streamlining tasks such as routine inquiries and procurement operations.

⇨ A significant portion of SAP professionals (32%) prioritize AI adoption for automating repetitive tasks, indicating a strategic shift towards enhancing operational efficiency and focusing human resources on higher-value activities.

⇨ Recent updates to SAP solutions shared at the SAP Spend Connect Live event will enhance user experience in managing procurement and workforce tasks, with features such as performance analytics, supplier matching, and simplified procurement processes.

The opportunity to utilize Generative AI features and solutions across the SAP portfolio, Intelligent Spend and Business Management, and Human Capital Management, offers SAP customers a “radical approach” to enhance business functions. 

This is the view from a recent SAPinsider research report on AI adoption, which also highlights that the primary driver for artificial intelligence adoption for 32% of SAP professionals is the imperative to automate repetitive and time-consuming tasks.

According to SAPinsider President Rizal Ahmed, this suggests a strategic shift towards enhancing operational efficiency and reallocating human resources to higher-value tasks, which can significantly improve overall productivity and competitiveness for organizations. But regarding core business functions such as Finance & Accounting, Procurement & Sourcing, a significant number of organizations are still in the evaluation phase for integrating them with AI. For these SAP Insiders, a new impetus can be found in new updates by SAP to its Spend Management and Business Network solutions. 

The updates, revealed this month at the SAP Spend Connect Live event, are designed for SAP’s generative artificial intelligence (GenAI) copilot Joule to assist companies in strategic collaboration, higher productivity, effortless compliance, and developing more business insights. SAP Business AI helps customers to leverage AI, powered by their business data in a secure, compliant and ethical way.

Joule enters the Business Network 

SAP is embedding Joule across the SAP Ariba source-to-pay solution portfolio to make it easier for customers to manage routine inquiries, such as status updates, summarization and frequently asked questions. GenAI will be further infused in SAP Ariba solutions to recommend buying bundles and provide comprehensive supplier summaries.

The updates with Joule will benefit users of SAP Ariba, SAP Fieldglass and SAP Business Network as follows:

• Make it easier to manage routine inquiries, such as status updates, summarization, and frequently asked questions
• Assist users in performing time-consuming hiring tasks and service requests with speed and accuracy
• Recommend best-fit templates to generate job postings and statements of work (SOWs) with prefilled information such as start date and the number of skilled workers needed
• Facilitate tasks in logistics and asset management for Business Network users while analyzing, categorizing and transforming unstructured invoice rejection errors into structured, actionable insights to reduce the cost of resolving exceptions
• Help match suppliers with new business opportunities for SAP Business Network users.

AI x Procurement in SAP

SAP also introduced an analytics add-on for external workforce management for SAP Fieldglass. The add-on will enable procurement, vendor management, and HR professionals implement better talent strategies. For users, this add-on can:

• Review performance against over 50 external workforce key performance indicators.
• Access global market intelligence, including rates, talent supply and demand, and time-to-hire trends.
• Track sustainability initiatives such as spending with diverse suppliers and worker health and safety while observing cost overruns, worker fatigue, and onboarding and offboarding compliance.

Similarly, updates were unveiled with the SAP Ariba Intake Management solution to streamline procurement, handle employee requests, and orchestrate processes. The solution will provide one place for employees to go for procurement inquiries and visibility status.

The Intake Management solution, which will be available in Q1 2025, collects employee requests, orchestrates processes across varied business landscapes and applications, and provides visibility on status while safeguarding employees from complex processes driving adoption and improving compliance.

Joule is currently available within SAP Ariba solutions and will debut in SAP Fieldglass solutions and SAP Business Network in Q4 2024. The company’s new SAP Business Network Promote Subscription will launch in Q1 2025 to help suppliers grow their business.